Anadarko Petroleum expected to make final

05 Apr 2017

Anadarko Petroleum expected to make final investment decision on Mozambique in 2018

US group Anadarko Petroleum is expected to make a final investment decision about a natural gas exploration project in Mozambique in April/June 2018, said the chief executive of Japanese group Mitsui & Co.

Hirotatsu Fujiwara told the Reuters news agency that partners in the Area 1 block of the Rovuma Basin had expected to end talks with the government of Mozambique in December but added that the process has a four-month delay.

The CEO of Mitsui & Co also said the two natural gas processing plants with a capacity of 12 million tonnes per year should become operational in 2022/2023, after a construction period of four years.

The partners in the block – including the Anadarko group that acts as operator, Mitsui & Co Group, Indian company ONGC Videsh, Bharat PetroResources Ltd and Oil India Ltd and Thai PTT Exploration & Production Plc – have been negotiating with Japanese companies in the gas sector to sign long-term gas sale contracts.

Fujiwara also told Reuters that partners have already signed contracts for eight million tonnes/year and that it was necessary to reach at least 9.6 million tonnes/year or 80% of the processing capacity that will be built in Mozambique to secure the funding required to make a final investment decision. (macauhub)